In August 20Xl, the last month of its fiscal year, Goldwaithe Township issued $88,000 worth of tickets for parking and traffic violations. Of these, the township collected $45,000.
It expects to collect an additional $20,000 within 60 days of the close of the fiscal year and to collect $3,000 subsequent to that. It will have to write off the balance. The tickets are due and the protest period expires on September 15.
1. How much revenue should the township recognize from the tickets issued in August 20Xl? Explain.
2. How might your answer change with respect to the township's government-wide statements?